garrettmoody

MAG Going Long

Long
garrettmoody Updated   
AMEX:MAG   MAG Silver Corporation
3
MAG has had some very clear and strong support and resistance lines in the past (as shown in chart with blue lines). For the last several months we've seen a retracement (just extending a Fibonacci .618) in the fashion of an Elliott Wave / Channel style. The downward Elliott Wave is now complete at the same time it is bouncing off the bottom of the channel. We could either see another iteration of it bouncing off the top of the channel and back down to the larger .786 Fibonacci retracement , or if it breaks the channel we could expect to see it bounce off of those support/resistance lines to meet (or exceed) the structure high. If that wasn't enough for you, check out the RSI and Stoch RSI indicators; they're telling us to go long too.
Trade active:
Trade was locked in at $10.37. Stop is updated to $10.70.
Trade closed: target reached:
First target of $12.00 was reached and the trade was closed as expected. It just got here way quicker than expected; nothing wrong with that. Lets keep watching this stock for a bounce back and then extension to our number 1 on the graph shown above.
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